ICO's Soon to Be Fully Regulated in France

By
Stefan Filipović

Published
7 months
ago

Initial Coin Offerings (ICOs) present a great way of raising capital for cryptocurrency-related projects. With a carefully planned ICO, it is possible to build a massive enthusiastic community around the project. There are a lot of things that set cryptocurrencies apart from the traditional monetary system and ICOs are certainly one of the main progressive steps that crypto revolution took. Unfortunately, ICOs have a pretty bad reputation in some places, especially in the USA. People are very careful regarding ICO investment in those places. Possible new regulations will probably change the general public outlook regarding ICOs.

New Draft

As La Tribune reports, The Pact Act (Action Plan for Business Growth and Transformation) of The Treasury and the Autorité des marchés financiers (AMF) will be a new long-awaited draft that will bring a range of provisions which will help a great deal to ensure rewarding crypto space in France. The new draft will be about bitcoin and other virtual currencies. Part of the draft will deal with the ICOs.

Sébastien Raspiller, deputy director at the General Treasury said that “The Pact Act will say that the Autorité des marchés financiers (AMF) are responsible for ICO." The reason behind new regulations lays in the fact that France wants to ensure the innovative approach to new modes of finance in order to make Paris market more attractive.

At the beginning of 2019. It is expected that the draft will come into power. The bill should be introduced to the Council of Ministers in June. If this plays out according to the plan, France might be the first European country to fully seize emerging opportunities with a full regulation of an ICO. Anne Maréchal who is a director of legal affairs of the AMF said that France “will be the first in the world to have an ad hoc regulation on ICO.” She added that their goal is to attract the most promising projects to France, and new regulations should play a key role in reaching that goal.

Consequences

AMF reported that the request for new supervision came from the ICO founders themselves. Anne Maréchal also stated that the serious people wanted to separate themselves from the fraudsters. This could be a very good sign of future ICO prosperity. Paris could become a safe haven for ICO projects with full regulations and protections both for project founders and ICO participants. Investors will be sure that the project they are investing is secure and compliant with all regulation which is a great start.

Conclusion

Regulation of the ICOs could bring higher prosperity and a safe regulated climate in the industry. There are a lot of influential blockchain and Crypto experts that are still very careful in dealing with ICOs, mainly because the field is unregulated. Possible regulations might bring all those people towards ICO projects which will probably have huge positive effects for ICOs in general. Of course, if new regulations turn out positive for Paris and France, it is expected for the rest of European Union to follow. The new regulation draft may be a start of the big changes in the industry we all have been waiting for.

What do you think of France’s new draft? Will it push Paris into becoming a crypto haven? Share your opinions in the comments!

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